Markets Daily India By Savio Shetty and Rajesh Mascarenhas September 1, 2026 at 2:30 AM UTC Bookmark Save Lock This article is for subscribers only. Good morning... I'm Savio Shetty in Mumbai, where the debate over the closing auction refuses to die down.

While traders breathed a big sigh of relief on Monday as India's new closing auction system handled a record surge in trading driven by MSCI index changes, sharp moves in some individual stocks have left many market watchers concerned. The NSE Nifty 50 edged lower during the session, closing August with a 1.2% loss. The benchmark is now heading into a seasonally weak month.

September is one of just three months in which the Nifty posted an average decline over the last 10 years, with a mean loss of about 0.3%. Data late on Monday showed India's economy grew faster than expected in the last quarter, powered by manufacturing and services. That bolsters expectations for an interest-rate hike later this year, which may weigh further on the equity market.

Meanwhile, companies continue to be on a fundraising spree, with proceeds from so-called QIPs (qualified institutional placements) now at 90% of last year's total.